Eastern Cape's first Wine Estate to reap first harvest this month

ECDC media release

5 February 2010

Eastern Cape's first Wine Estate to reap first harvest this month



Kick-started by a R3,2 million Eastern Cape Development   Corporation (ECDC) loan, the Eastern Cape's first wine estate, Cob Creek Wine Estate in Jeffrey's Bay, is set to reap its first commercial harvest at the end of February.

Nestled on a hill overlooking the Kabeljous river, the estate expects to harvest between one to two tons of grapes per hectare which will grow to 10 tons per hectare over the next two seasons as the crops reach maturity. The brainchild of three Eastern Cape entrepreneurs Greg Ferguson, Liziwe Peltenburg and Adelheid Peltenburg, the estate is growing premium grapes for premium wines. After the harvest, the grapes will be processed into wine.

"Wine-lovers can expect the first bottle of wine to go on sale in November this year. We expect a R1,8 million net income from the sales.

We bought the farm for R3, 5 million and we then approached ECDC to assist us with a loan for working capital. The bulk of this amount was used for trellising the vineyard. Only 32 hectares of the farm have been planted," says shareholder Greg Ferguson. 

Some of the prime wine varieties enthusiasts can expect include shiraz, sauvignon blanc, semillon, chenin blanc, pinot noir and white muscadel. Seventy-five percent will be white wine of which sauvignon blanc will be the largest.

 "Convinced of the quality of Cob Creek's soil and climate, research and scientific results proved that they were comparable to some of the best wine-lands in the Western Cape, the main wine-producing area in South Africa," says ECDC development investments account manager Norie Makubalo.

Ferguson who describes himself as an ardent wine lover, says they came across the farm by chance. It was subsequently rated highly for premium wines. Premium grapes have lower yields per hectare. Cob Creek has already employed the services of a full-time qualified wine maker based on site.  The farm currently has 60 workers on site and a further 50 is expected at the beginning of the picking period.

Makubalo says this is the first time ECDC has provided funding to a client in the wine industry and it is exciting because "not only does the wine estate hold job creation opportunities, it has the potential to attract tourism activities in the area."

Ferguson explains that the wine will be sold at the farm although some specialist wine retailers have shown an interest to sign off-take agreements to sell their wines. "We want to sell the wine on site so people can also visit the wine and boost the infant wine industry in the area. In the next two seasons we expect to export 25% of our wines," says Ferguson.

Cob Creek will also boast an 18-hole signature golf course and a lifestyle estate on the river almost reaching the sea. Cob Creek Winery will present a tasting room which will be open throughout the year where guests can taste and purchase the wines.

For more information contact:

Norie Makubalo

ECDC

Tel. 043 704 5600

Email. nmakubal@ecdc.co.za

For ECDC media relations:

Lunga Mtshizana

SMG Africa

Tel. 043 726 8833

Cell. 083 618 7557

Email. lunga@smgafrica.com